Oakwood, The Most Trusted Name in Corporate Housing Worldwide
The most trusted name in temporary housing. sm
My AccountAbout OakwoodNeed Help?Find & ReserveHousing SolutionsInternational
header-title-image
Company Overview
Products & Services
Press Room
Careers

Wall Street Journal Asia: China and India are Key Destinations in Sector's Rapid Growth

By Brent Hannon

 

The services apartment business in Asia is expanding rapidly, with China and India particular hotspots.

 

Asia's largest operator of serviced apartments, Singapore-based Ascott Group, has seven properties scheduled to open by year end in several cities, including Bangkok, Chennai (the Indian city formerly known as Madras) and Singapore.

 

Frasers Hospitality, also based in Singapore, has projects under development in the Chinese cities of Beijing, Chongqing, Dalian, Hangzhou, Shanghai, Suzhou, Wuxi and Xian. And Oakwood Asia Pacific, another Singapore-based serviced apartments company, has opened seven properties in the past eight months and plans to open 26 over the next 30 months. Its emphasis is also on expansion in China and India.

 

Serviced apartments are often compared with five-star hotels in terms of service. At the high end, the two types of accommodation do compete, with top serviced apartments offering perks like room service, dry cleaning, 24-hour concierge desks and daily room cleaning.

 

In general, however, serviced apartments occupy a different niche. Guests stay longer - an average of three months compared with three to four days in a hotel, and have lower staff levels - about one staff member for every two to three rooms compared with one for each room at a luxury hotel. At serviced apartments the goal is to make guests feel at home.

 

"We provide travelers with a home away from home where they can enjoy home-style comfort, privacy and conveniences on top of having the facilities that they'll find in a good-quality hotel," says Cellina Low, vice president, corporate communications, brand and marketing, for the Ascott Group.

 

In a variety of creative ways, serviced apartment operators work to make their guests feel more comfortable. Some offer city tours, discount cards at local restaurants and hospitals, language classes, shuttles to nearby schools, and on-site kindergartens. Payment for many of these services is included in the rent. And for that ultimate at-home feeling, some serviced apartments even allow pets.

 

As with hotels, level of service varies according to the brand. Ascott Group, Frasers Hospitality and Oakwood Asia Pacific each offer at least three brands that serve different market segments.

 

"Oakwood Premier targets senior executives, and it competes directly with upscale deluxe hotels where you have full 24hour services and facilities at a single touch, whereas with Oakwood Residence, the apartment sizes are larger and more tailored to families," says Frank Foster, vice president of marketing and sales for Oakwood Asia Pacific.

 

The group's third brand, Oakwood Apartments, offers simpler service. "They are for executives that know the city and where to go out," says Mr. Foster. "Those are mote focused on the road warrior."

 

Similarly, the top brands at Ascott and Frasers offer high-end, hands-on service, while the family-oriented properties also cater for spouses and children. This is where the programs can get creative.

 

"In the Philippines, our Somerset Host program helps our residents navigate in their new environment and settle in quickly," says Ascott's Ms. Low. "We organize regular activities such as city tours, language courses, excursions out of town, parties, and workshops on local culture."

 

At the family-oriented properties, many of the services are designed for spouses and children. For example, Frasers Hospitality has unveiled the Fraser Kids' Club, which entertains children with outdoor wading pools, indoor playrooms, movie screenings, and other pastimes. And at Somerset Olympic Tower in Tianjin, China, Ascott provides free shuttle services to a Japanese school and international school.

 

Sometimes the services are meant to make life easier for residents as they navigate their foreign surroundings. Many apartments have grocery stores on their premises, while others will help with grocery delivery from nearby stores. And guests at any of the Ascott Group's 11 properties in Bangkok receive a privilege card from BNH Hospital, which gives them discounts on room rates, medications, medical services and access to a medical hotline.

 

In two key areas serviced apartments aim to provide the same level of service as their hotel competitors. One is in fitness, where many of the properties have first-rate facilities, and the other is in business-related services, where video-conferencing facilities, property-wide wireless broadband Internet, lavishly equipped meeting rooms, and other services are standard at most properties

 

Frasers Hospitality has taken the concept one step further, with The Retreat in Singapore, a meetings area that combines a full range of business services with some new-age mental-health features. "The Retreat is an award-winning meeting facility," says Choe Peng Sum, CEO of Frasers Hospitality, "but it is also where one recharges energy and brainpower in an alternative world of peace, quiet and relaxation."

Home | Contact Us | Site Map | Privacy Policy | Properties
© 2004 - 2009 Oakwood Worldwide / The most trusted name in temporary housing. SM
Equal Housing Opportunity